|
The agreement also covers the launch of two new SEG premium movie
channels on Comcast systems and provides for the extension of the
affiliation agreement between the two companies into the next decade.
Finally, the agreement provides Comcast more control over future
programming costs while providing SEG greater predictability in
its long-term revenue stream, stated an official release.
The comprehensive agreement paves the way for Comcast to bring
Starz to more Comcast customers and expand Encore and its thematic
channels to additional digital cable customers. In addition to access
to these channels, the agreement covers broad video-on-demand rights.
Comcast plans to offer digital cable customers who subscribe to
Starz 325 top movie titles per month, and offer Encore customers
250 of these movie titles per month - all at no additional charge.
Digital cable customers who would have paid $3-4 per movie to receive
top movies now will each be able to receive up to $1,000 per month
worth of value at no additional charge from Comcast.
Comcast will also make available for no additional charge 100 of
the 250 Encore movies as part of a new digital cable package that
will be the gateway to video-on-demand for those customers who have
previously experienced traditional television content, the release
added.
"This is the most important movie deal Comcast has ever done
and is further evidence of our commitment to giving customers the
most choice and the best content on television," president
of Comcast Cable and COO of Comcast Corporation Steve Burke said.
"Going forward, we'll continue to leverage our superior two-way
platform to differentiate our products and deliver the ultimate
entertainment experience."
SEG president and CEO Robert B. Clasen said the deal represents
a milestone in the development of video on demand, which has improved
customer satisfaction and reduced subscriber churn wherever it has
been introduced. "This agreement will also give us a long term
relationship with the largest cable company in the country and provides
a fabulous launching pad for two new channels."
|